You are here -allRefer - Reference - Country Study & Country Guide - Israel >

allRefer Reference and Encyclopedia Resource

allRefer    
allRefer
   


-- Country Study & Guide --     

 

Israel

 
Country Guide
Afghanistan
Albania
Algeria
Angola
Armenia
Austria
Azerbaijan
Bahrain
Bangladesh
Belarus
Belize
Bhutan
Bolivia
Brazil
Bulgaria
Cambodia
Chad
Chile
China
Colombia
Caribbean Islands
Comoros
Cyprus
Czechoslovakia
Dominican Republic
Ecuador
Egypt
El Salvador
Estonia
Ethiopia
Finland
Georgia
Germany
Germany (East)
Ghana
Guyana
Haiti
Honduras
Hungary
India
Indonesia
Iran
Iraq
Israel
Cote d'Ivoire
Japan
Jordan
Kazakhstan
Kuwait
Kyrgyzstan
Latvia
Laos
Lebanon
Libya
Lithuania
Macau
Madagascar
Maldives
Mauritania
Mauritius
Mexico
Moldova
Mongolia
Nepal
Nicaragua
Nigeria
North Korea
Oman
Pakistan
Panama
Paraguay
Peru
Philippines
Poland
Portugal
Qatar
Romania
Russia
Saudi Arabia
Seychelles
Singapore
Somalia
South Africa
South Korea
Soviet Union [USSR]
Spain
Sri Lanka
Sudan
Syria
Tajikistan
Thailand
Turkmenistan
Turkey
Uganda
United Arab Emirates
Uruguay
Uzbekistan
Venezuela
Vietnam
Yugoslavia
Zaire

Israel

Government Budget

By 1988 the government had been operating under a deficit for more than a decade. Between 1982 and 1984, the deficit equaled between 12 and 15 percent of GNP. After the implementation of the July 1985 Economic Stabilization Program, the government succeeded in balancing its budget (see The Economic Stabilization Program of July 1985 , this ch.). This balance was achieved not only because the government raised taxes and reduced spending, but also because the reduced inflation increased the real value of tax revenues. During FY 1986, the expansion of the economy compensated for the reduction in direct and indirect taxes. The government also initiated plans to reduce further its public debt (see table 5; table 6, Appendix A).

Before the July 1985 reforms, the tax system was considered to be very progressive on individual income but barely touched corporate income. After the reforms, which included a new corporate tax law, large sums of taxes were collected from business sectors that previously had been untaxed. Personal income tax ranged from a base rate of 20 percent (payable on incomes equivalent to about US$500 per month) to a top rate of 60 percent on a monthly income of about US$2,100. Corporate income tax generally was 45 percent. Few corporations, however, actually paid this rate once various government subsidies were included in the calculation.

Data as of December 1988

 

Israel - TABLE OF CONTENTS

  • The Economy

  • Go Up - Top of Page



    Make allRefer Reference your HomepageAdd allRefer Reference to your FavoritesGo to Top of PagePrint this PageSend this Page to a Friend


    Information Courtesy: The Library of Congress - Country Studies


    Content on this web site is provided for informational purposes only. We accept no responsibility for any loss, injury or inconvenience sustained by any person resulting from information published on this site. We encourage you to verify any critical information with the relevant authorities.

     

     

     
     


    About Us | Contact Us | Terms of Use | Privacy | Links Directory
    Link to allRefer | Add allRefer Search to your site

    ©allRefer
    All Rights reserved. Site best viewed in 800 x 600 resolution.